The construction industry suffered a deep slide in activity in February, raising pressure on the Chancellor to take action to galvanise investment in homes and infrastructure.

Output from the sector, which has been perennially depressed in recent quarters, fell at the quickest pace in more than three years, according to the Markit/CIPS purchasing managers’ index.

The gauge dropped to 46.8 — the lowest since October 2009 — sinking further below the 50 level that separates growth from contraction. The deterioration confounded analysts’ forecasts for an improvement to 49.0 and left the index below January’s 48.7 reading.